7 Safe Stocks to Buy NOW in the Stock Market Crash

TL;DR

Learn about sectors, ETFs, and stocks that performed well during the 2008 market crash to help protect and grow your investments.

Transcript

hey bowtie nation joseph hogue here with the stocks that are gonna save you from the 2022 stock market crash the s p 500 is now down eight percent for the year with one in five stocks down more than 20 just this year but history can help you avoid the worst of a stock market crash and even make money the market plunged 55 from october of 2007 to th... Read More

Key Insights

• 💩 Sectors hit the hardest during the 2022 stock crash include technology, communication services, and consumer discretionary.
• 🥹 Consumer staples, healthcare, and utilities held up well during the 2008 market crash.
• 🍰 Ultra short funds, gold and bond funds, and certain stocks within the consumer staples, discount store, and drug maker sectors performed well during the market crash.
• 🥳 Auto parts retailers like AutoZone, Advanced Auto Parts, and O'Reilly Automotive showed resilience during the market crash.
• 🏪 Discount stores such as Ross Stores, Dollar Tree, and Walmart performed well during the market crash.
• ❓ Drug makers like Gilead Sciences, Abbott Labs, and Amgen outperformed during the market crash.
• 🔬 Investing in consumer staple stocks like General Mills, McCormick, and Hormel Foods provided some protection during the market crash.

Questions & Answers

Q: Which sectors have been hit the hardest during the 2022 stock market crash?

The hardest-hit sectors during the 2022 stock crash are technology, communication services, and consumer discretionary. These sectors tend to include riskier growth stocks that fall faster in a market crash.

Q: Which sectors and stocks held up well during the 2008 market crash?

Sectors such as consumer staples, healthcare, and utilities held up well during the 2008 market crash. Stocks within these sectors, such as auto parts retailers, discount stores, drug makers, and consumer staple companies like General Mills and McCormick, also performed well.

Q: What are ultra short funds, and how did they perform during the market crash?

Ultra short funds are ETFs that leverage the opposite of the return on indexes or sectors, often shorting futures contracts. During the market crash, these funds performed well, with some posting returns in the range of 100% to 200%.

Q: Are gold and bond funds a safe investment during a market crash?

Gold and bond funds have traditionally performed well during market crashes. ETFs like SPDR Gold Shares (GLD) and iShares 20+ Year Treasury ETF (TLT) saw positive returns during the 2008 crash. However, it's important to consider factors like the current price of gold and the likelihood of interest rates going up.

Summary & Key Takeaways

• The S&P 500 is down 8% for the year, with one in five stocks down more than 20%, but history shows that certain stocks and sectors can outperform during a market crash.

• Sectors such as technology, communication services, and consumer discretionary have been hit the hardest during the 2022 stock crash, while sectors like utilities and consumer staples have performed well.

• During the 2008 crash, stocks in the consumer staples, healthcare, and utility sectors held up well, while certain ETFs, such as ultra short funds and gold and bond funds, also performed well.